Selangor Housing and Property Board did not implement governance action plan and supervision of Bumiputra housing quota, according to the Auditor-General”s Report 2015

Selangor Housing and Property Board  did not implement governance action plan and supervision of Bumiputra housing quota, according to the Auditor-General''s Report 2015

SHAH ALAM, May 18 — The Selangor Housing and Property Board (LPHS) was found not to have implemented the governance action plan and supervised the Bumiputra housing quota, and these need to be improved, according to the Auditor-General’s Report 2015 Series 1.

According to the report, these happened because the blueprint was not endorsed by the state executive council to be comprehensively utilised except involving the quota rate fixing of Bumiputra housing.

In addition, it said restrictions of interest in the ownership document for Bumiputera quota units were not clearly stated to control and ensure the retention of ownership.

LPHS, via a feedback on Feb 26 said it would review the blueprint to ensure it was relevant with current property development for the 2018 to 2050 period, with the study expected to be ready in 2018.

In addition, audit inspection also found the return of Bumiputra discounts and fines conducted by LPHS were not satisfactorily managed.

“This is because RM73,250 in fines are uncollected while decisions were arbitrarily made to exempt fines amounting to RM2.39 million.

“In addition, the calculations of returned Bumiputra price rebates and fines were not made based on sale prices; the fixing of Bumiputra house units did not follow the dates of the sale and purchase agreements and the second stage release was approved before payment for the first stage of release was fully cleared,” said the report.

Nevertheless, the LPHS feedback on Feb 26 stated that the fine of RM73,250 had been claimed but the standard operating procedures (SOP) related to the exemption of fine and a release and fine exemption committee would be set up.

In the meantime, the report found that fund from the Trust Fund was not utilised in the interest of Bumiputra Quota Housing Policy, and the proceeds of investment were not accounted for in the fund for the same purpose.

In this regard, the Auditor-General proposed that LPHS, with the cooperation of the Land and Mines Department (PTG) create a mechanism to measure and evaluate the achievement of the Bumiputra quota housing policy.

LPHS was also urged to update the Trust Directive so that the money from the Trust Fund was used in the interest of Bumiputra quota housing policy, other than stipulating that profits from investments be entered into the fund account for the same purpose.

— BERNAMA

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